ZF Group to invest over Rs 18,700 crore in India
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Germany's conglomerate ZF Group is going to invest 2 billion euros (approximately Rs 18,750 crore) in the next six years to expand its business in India across various sectors including auto components, wind gearboxes, construction and agricultural machinery.
With large investments, the company aims to increase its sales in India to 3 billion euros (approximately Rs 28,000 crore) by 2030 from Rs 10,000 crore last year.
The ZF Group expects its sourcing of parts from India for global and local demand to reach 2 billion euros annually by 2030.
The group is also working on new safety rules and demand for new technology.
Peter Laier, a member of the management Board of ZF Group said, "India's transportation needs are increasing. We hope to see more vehicles on the roads in the future. Our investment has been made taking a long-term view and considering the growth potential in the region.
“We will expand our capacity while remaining committed to sustainability. We will be well-positioned to contribute significantly to India’s ambition of doubling its wind power capacity by 2030."
The company plans to increase the manufacturing capacity of its wind energy gearbox plant in Coimbatore from 9 GW to 12 GW.
The firm is monitoring developments in emerging technologies like ethanol, biofuels and hydrogen.
However, the group's primary focus remains on ICE (internal combustion engines and electromobility).
Akash Passey, President of ZF Group (India) said, "Our target is to grow from Rs 10,000 crore to a Rs 25,000 crore company because the Indian economy is doing well. Despite the challenges at the global level, the policies of the Union and state governments here are good. We feel there is potential for development here."
The ZF Group has 16,000 employees, 18 manufacturing units and 10 engineering centres in India.
